Thursday, January 31, 2013

The Rank of Georgia from poorest is 60th with national average per capita income using Atlas method per capita income is 830 in 2003. in other measurement, IMF, WB and CIA in 2007, 2007, and 2008rank/gdp.........rank/gdp............rank/gdp110/2,340....103/2315...........110/2,215The rank from the richest is 145.

Georgia is a democraticsemi-presidentialrepublic, with thePresidentas the head of state, and Prime Minister as the head of government. The executive branch of power is made up of the President and theCabinet of Georgia. The Cabinet is composed of ministers, headed by thePrime Minister, and appointed by the President. Notably, the ministers of defense and interior are not members of the Cabinet and are subordinated directly to the President of Georgia. Mikheil Saakashvili is the current President of Georgia after winning 53.47% of the vote in the2008 election. Since February 6, 2009Nikoloz Gilaurihas been the prime minister of Georgia.

Legislativeauthority is vested in theParliament of Georgia. It is unicameral and has 150 members, known as deputies, from which 75 members are proportional representatives and 75 are elected through single-member district plurality system, representing their constituencies. Members of parliament are elected for four-year terms. Five parties and electoral blocs had representatives elected to the parliament in the2008 elections: theUnited National Movement(governing party), The Joint Opposition, theChristian-Democrats, theLabour PartyandRepublican Party.On 26 May 2012, Saakashvili inaugurated a new Parliament building in the western city ofKutaisi, in an effort to decentralise power and shift some political control closer to Abkhazia.

Although considerable progress was made since theRose revolution, Saakashvili states that Georgia is still not a "full-fledged, very well-formed, crystalized society.The political system remains in the process of transition, with frequent adjustments to the balance of power between the President and Parliament, and opposition proposals ranging from transforming the country into parliamentary republic to re-establishing themonarchy.Observers note the deficit of trust in relations between the Government and the opposition.

Different opinions exist regarding the degree of political freedom in Georgia. PresidentSaakashvilibelieves that the country is "on the road to becoming a European democracy.Freedom Houselists Georgia as a partly free country.

In preparation for 2012 parliamentary elections, Parliament adopted a new electoral code on December 27, 2011 that incorporated many recommendations from non-governmental organizations (NGOs) and the Venice Commission. However, the new code failed to address the Venice Commission’s primary recommendation to strengthen the equality of the vote by reconstituting single-mandate election districts to be comparable in size. On December 28, Parliament amended the Law on Political Unions to regulate campaign and political party financing. Local and international observers raised concerns about several amendments, including the vagueness of the criteria for determining political bribery and which individuals and organizations would be subject to the law. As of March 2012, Parliament was discussing further amendments to address these concerns.

Theelections in October 2012resulted in the clear victory for the opposition, which President Saakashvili conceded on the following day

Education

The education system of Georgia has undergone sweeping modernizing, although controversial, reforms since 2004.Education in Georgia is mandatory for all children aged 6–14.The school system is divided into elementary (6 years; age level 6–12), basic (3 years; age level 12–15), and secondary (3 years; age level 15–18), or alternatively vocational studies (2 years). Students with a secondary school certificate have access to higher education. Only the students who have passed the Unified National Examinations may enroll in a state-accredited higher education institution, based on ranking of scores he/she received at the exams.

Most of these institutions offer three levels of study: a Bachelor's Program (3–4 years); a Master's Program (2 years), and a Doctoral Program (3 years). There is also a Certified Specialist's Program that represents a single-level higher education program lasting for 3–6 years.As of 2008, 20 higher education institutions are accredited by the Ministry of Education and Science of Georgia.[159]Gross primary enrollment ratiowas 94% for the period of 2001–2006.

Culture

Georgian culture evolved over thousands of years with its foundations inIberianandColchiancivilizations,continuing into the rise of the unified Georgian Kingdom under the single monarchy of theBagrationi. Georgian culture enjoyed a golden age and renaissance ofclassical literature, arts, philosophy, architecture and science in the 11th century.

The special status of the Georgian Orthodox Church is officially recognised in the Constitution of Georgia and theConcordat of 2002, although religious institutions are separate from the state, and every citizen has the right of religion.

Religious minorities of Georgia includeArmenian Christians(3.9%), Muslims (9.9%), and Roman Catholics (0.8%).Islamis represented by bothAzerbaijaniShiaMuslims (in the South-East) and ethnic GeorgianSunniMuslims in Adjara.Georgian Jewstrace the history of their community to the 6th century BC; their numbers have dwindled in the last decades due to strong emigration towardsIsrael.

Despite the long history of religious harmony in Georgia,there have been several instances of religious discrimination and violence against "nontraditional faiths", such asJehovah's Witnesses, by the followers of thedefrockedOrthodox priest Vasil Mkalavishvili.

Economy

Archaeological research demonstrates that Georgia has been involved in commerce with many lands and empires since the ancient times, largely due its location on theBlack Seaand later on the historicalSilk Road. Gold, silver, copper andironhave been mined in theCaucasus Mountains.Wine makingis a very old tradition. The country has sizablehydropowerresources.Throughout Georgia's modern history agriculture and tourism have been principal economic sectors, because of the country's climate and topography.

For much of the 20th century, Georgia's economy was within theSovietmodel ofcommand economy. Since the fall of theUSSRin 1991, Georgia embarked on a major structural reform designed to transition to afree marketeconomy. As with all otherpost-Soviet states, Georgia faced a severe economic collapse. The civil war and military conflicts in South Ossetia and Abkhazia aggravated the crisis. The agriculture and industry output diminished. By 1994 the gross domestic product had shrunk to a quarter of that of 1989.The first financial help from the West came in 1995, when theWorld BankandInternational Monetary Fundgranted Georgia a credit of USD 206 million and Germany grantedDM50 million.

The production of wine is a traditional component of the Georgian economy.

Since the early 21st century visible positive developments have been observed in the economy of Georgia. In 2007 Georgia'sreal GDPgrowth rate reached 12%, making Georgia one of the fastestgrowing economiesin Eastern Europe.The World Bank dubbed Georgia "the number one economic reformer in the world" because it has in one year improved from rank 112th to 18th in terms ofease of doing business.[125]The country has a highunemployment rateof 12.6% and has fairly lowmedian incomecompared to European countries.

The 2006 ban on importsofGeorgian wineto Russia, one of Georgia's biggest trading partners, and break of financial links was described by the IMF Mission as an "external shock",In addition, Russia increased the price of gas for Georgia. This was followed by the spike in theGeorgian lari's rate of inflation]The National Bank of Georgia stated that the inflation was mainly triggered by external reasons, including Russia’s economic embargo.The Georgian authorities expected that the current account deficit due to the embargo in 2007 would be financed by "higher foreign exchange proceeds generated by the large inflow of foreign direct investment" and an increase in tourist revenues.The country has also maintained a solid credit in international market securities.Georgia is becoming moreintegratedinto the global trading network: its 2006 imports and exports account for 10% and 18% of GDP respectively.Georgia's main imports are natural gas,oilproducts,machineryand parts, and transport equipment.

Tourism is an increasingly significant part of the Georgian economy. About a million tourists brought US$313 million to the country in 2006.According to the government, there are 103 resorts in differentclimatic zonesin Georgia. Tourist attractions include more than 2000mineral springs, over 12,000 historical and cultural monuments, four of which are recognised as UNESCOWorld Heritage Sites(Bagrati Cathedralin Kutaisi andGelati Monastery, historical monuments ofMtskheta, and Upper Svaneti).

Since coming to power Saakashvili administration accomplished a series of reforms aimed at improving tax collection. Among other things aflat income taxwas introduced in 2004.As a result budget revenues have increased fourfold and a once largebudget deficithas turned intosurplus.[133][134][135]

As of 2001 54% of the population lived below the national poverty line but by 2006 poverty decreased to 34%. In 2005 average monthly income of a household was GEL 347 (about 200 USD).IMF 2007 estimates place Georgia'snominal GDPat US$10.3 billion. Georgia's economy is becoming more devoted toservices(now representing 65% of GDP), moving away fromagricultural sector( 10.9%).

Transport

A green directional sign on the ს 1 motorway, denoting it as such.

Today transport in Georgia is provided by means ofrail, road, shipping and air travel. Positioned in theCaucasusand on the coast of the Black Sea, Georgia is a key country through which energy imports to theEuropean Unionfrom neighbouringAzerbaijanpass. Traditionally the country was located on an important north-south trade route betweenEuropean Russiaand theNear EastandTurkey.

In recent years Georgia has invested large amounts of money in the modernisation of its transport networks. The construction of new highways has been prioritised and, as such, major cities likeTbilisihave seen the quality of their roads improve dramatically; despite this however, the quality of inter-city routes remains poor and to date only onemotorway-standard road has been constructed - the ს 1.[

The Georgian railways represent an important transport artery for the Caucasus as they make up the largest proportion of a route linking theBlackandCaspian Seas, this in turn has allowed them to benefit in recent years from increased energy exports from neighbouringAzerbaijanto theEuropean Union,UkraineandTurkey.Passenger services are operated by the state-ownedGeorgian Railwayswhilst freight operations are carried out by a number of licensed operators. Since 2004 the Georgian Railways have been undergoing a rolling program of fleet-renewal and managerial restructuring which is aimed at making the service provided more efficient and comfortable for passengers.Infrastructural development has also been high on the agenda for the railways, with the key Tbilisi railway junction expected to undergo major reorganisation in the near future.Additional projects also include the construction of the economically importantKars–Tbilisi–Baku railway, which for the first time will connect much of the Caucasus with Turkey bystandard gaugerailway

Air and maritime transport is developing in Georgia, with the former mainly used by passengers and the latter for transport of freight. Georgia currently has four international airports; the largest of which is by farTbilisi International Airport, hub forGeorgian Airways, which offers connections to many large European cities. Other airports in the country are largely underdeveloped or lack scheduled traffic, although, as of late, efforts have been made to solve both these problems.[143]There are a number of seaports along Georgia'sBlack Seacoast, the largest and must busy of which is thePort of Batumi; whilst the town is itself a seaside resort, the port is a major cargo terminal in the caucasus and is often used by neighbouringAzerbaijanas a transit point for making energy deliveries to Europe. Scheduled and chartered passenger ferry services link Georgia withUkraineandTurkey.

Georgia had 9,804 manufacturing firms in 1997. The total value of shipments was $127 billion in that year. Important products included textiles, clothing, aircraft, soft drinks, paper, paints and varnishes, bricks and tiles, glassware, and ceramics.Georgia was primarily an agrarian state before the Civil War, but afterward the cities developed a strong industrial base by taking advantage of abundant waterpower to operate factories. Textiles have long been dominant, but new industries have also been developed. Charles H. Herty, a chemist at the University of Georgia, discovered a new method of extracting turpentine which worked so well that Georgia led the nation in producing turpentine, tar, rosin, and pitch by 1982. Herty also perfected an economical way of making newsprint from southern pines, which was adopted by Georgia's paper mills. With the onset of World War II, meat-processing plants were built at rail centers, and fertilizer plants and cottonseed mills were expanded.The state's—and Atlanta's—most famous product was created in 1886 when druggist John S. Pemberton developed a formula which he sold to Asa Griggs Candler, who in 1892 formed the Coca-Cola Co. In 1919, the Candlers sold the company to a syndicate headed by Ernest Woodruff, whose son Robert made "Coke" into the world's most widely known commercial product. The transport equipment, chemical, food-processing, apparel, and forest-products industries today rival textiles in economic importance.
Georgia's heavily forested northern region is dominated by carpet mills, especially around Dalton. In the piedmont plateau, manufacturing is highly diversified, with textiles and transportation equipment the most significant.
In 1997, 13 of the nation's 500 largest industrial corporations listed by Fortune magazine had headquarters in Georgia.

Earnings of persons employed in Georgia increased from $139.9 billion in 1997 to $151.7 billion in 1998, an increase of 8.4%. The largest industries in 1998 were services, 26.0% of earnings; state and local government, 10.0%; and transportation and public utilities, 9.5%. Of the industries that accounted for at least 5% of earnings in 1998, the slowest growing from 1997 to 1998 was nondurable goods manufacturing (8.9% of earnings in 1998), which increased 4.7%; the fastest was finance, insurance, and real estate (7.3% of earnings in 1998), which increased 10.3%

Agriculture

Endowed with a rich natural abundance of fertile soil, clean water and favourable climate, Georgia has traditionally produced a wide diversity of crops native to temperate zones. With this abundance, Georgia has been producing a broad scope of agricultural products for more than 3,000 years, ranging from the oldest wine to regional varieties of cereals and fruits.

Georgia offers major potential for agricultural development. During the Soviet era it was a leading agricultural country, providing up to 10% of inter-republic trade in the highest quality food. As in all transition countries, gross agricultural output (GAO) suffered after the end of the Soviet system, but the situation changed dramatically after the Rose Revolution, fuelled by efforts to promote new modes of economic development based on dynamic integration of the country into the global exchange of goods, services and financial flows.

It is starkly clear that demand for agricultural commodities is rapidly growing. Global population growth, urbanisation and loss of arable land are leading to dramatic decreases in available land per capita. What is more, changes in dietary habits towards higher meat consumption, increased production for biofuel and speculation are driving the sharp rise in prices for agricultural land and water.

While many other countries have become nervous about the future outlook of their agricultural production and started restricting access to land for foreign investors, Georgia is actively inviting investors to develop the agricultural potential of its land. Georgia offers a number of investable agricultural industries, such as its wine sector, mineral and table water, fisheries, citrus and apple production, and fresh culinary herbs.

The Georgian Government has taken bold steps forward towards greater integration into the global economy by establishing international accords such as free trade agreements (FTA) with Turkey and the nations of the Commonwealth of Independent States (CIS), and good safety practice (GSP) agreements with the European Union and the United States. In addition, Georgia is poised to establish FTAs with the EU and US.

Investors specifically interested in developing agricultural products are most welcome. Together with such investors, the Georgian Government understands the long-term and ever renewing value of crop systems that avoid depleting the natural resources that made the harvest possible.

The agricultural sector is important to the Georgian economy. Recent years have seen agriculture gain greater prominence in the Georgian political agenda. One vivid example of government support can be found in the state budget law for 2011, which earmarks a 78% increase for the Ministry of Agriculture.

Huge steps have been made in terms of attracting foreign direct investment (FDI) to this specific sector. Entities willing to establish agricultural processing enterprises will be able to acquire agricultural land for only 20% of the market price.

Investors in agricultural projects can rely on the following support provided by the Georgian Government, its Ministry of Agriculture and the Georgian National Investment Agency:

0% property tax on small plots of land (less than 5 ha)

0% property tax on property transactions

0% VAT on primary supply of agricultural products

0% import duty on agricultural and other equipment

Opportunity for privatising agricultural land (75% of all agricultural land is state-owned).

22.1 Kura River; Kura is ariver, also known from the Greek as theCyruin theCaucasus Mountains. Starting in northeasternTurkey, it flows through Turkey toGeorgia, then toAzerbaijan, where it receives theAras Riveras a righttributary, and enters theCaspian Sea. The total length of the river is 1,515 kilometres (941 mi)t rises in northeasternTurkeyin a small valley in theKarsUplandof theLesser Caucasus. It flows west, then north and east pastArdahan, and crosses intoGeorgia. It arcs to the northwest, then into a canyon nearAkhaltsikhewhere it starts to run northeast in a gorge for about 75 kilometres (47 mi), spilling out of the mountains nearKhashuri. It then arcs east and starts to flow east-southeast for about 120 kilometres (75 mi), pastGori, then nearMtskheta, flows south through a short canyon and along the west side ofT'bilisi, the largest city in the region. The river flows steeply southeast pastRustaviand turns eastward at the confluence with theKhrami River, crossing the Georgia-Azerbaijanline and flowing across grasslands intoShemkir reservoirand thenYenikend reservoirMost of the Kura River runs in the broad and deep valley between theGreater CaucasusandLesser Caucasusmountains, and the major tributary, the Aras, drains most of the southern Caucasus and the mountain ranges of the extreme northernMiddle East. The entirety ofArmeniaand most ofAzerbaijanare drained by the Kura River, but the Kura does not pass through Armenia at all. Also in the Kura watershed areTurkey,Georgia, and a bit of northernIran. Most of the elevation change in the river occurs within the first 200 kilometres (120 mi). While the river starts at 2,740 metres (8,990 ft) above sea level, the elevation is 693 metres (2,274 ft)by the time it reachesKhashuriin central Georgia, just out of the mountains, and only 291 metres (955 ft)when it reaches Azerbaijan.Formerly navigable up toT'bilisi, the largest city on the river, the amount of water in the Kura has greatly diminished in the 20th century because of extensive use forirrigation,municipal water, andhydroelectricitygeneration. The Kura is regarded as one of the most stressed river basins in Asia.Most of the water comes fromsnowmelt and infrequent precipitation in the mountains, which leads to severe floods and an abundance of water for a short time of the year (generally in June and July), and a relatively low sustainablebaseflow.Forestcover is sparse, especially in the Kura and Aras headwaters, and most of the water that falls on the highlands becomes runoff instead of supplyinggroundwater. Attempts at flood control include the constructions oflevees,dikesanddams, the largest of which is atMingachevir, an 80-metre (260 ft)-high rockfill dam impounding over 15.73 cubic kilometres (12,750,000 acre·ft) of water]However, because of the highsedimentcontent of rivers in the Kura basin,the effectiveness of these floodworks is limited and decreases every year